Banks scrutinize Credit Suisse products, interactions after takeover

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Banks scrutinize Credit Suisse products, interactions after takeover
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Some bankers and traders are grappling with how to interact with Credit Suisse across various markets including debt and foreign exchange, with some increasing scrutiny when dealing with the Swiss bank or its products, sources said.

A logo is pictured on the Credit Suisse bank in Geneva, Switzerland, March 15, 2023. REUTERS/Denis Balibouse/File PhotoNEW YORK/LONDON, March 23 - Some bankers and traders are grappling with how to interact with Credit Suisse

That caution continued into this week. While most trading between banks is secured by collateral, one senior banker at a major bank in London said his bank had not resumed unsecured lending to Credit Suisse. A source familiar with the matter also said the bank is still underwriting deals across asset classes, including leveraged loans.

The cautious approach shows bankers are still wrestling with the after-effect of the UBS-Credit Suisse takeover, concerned about what impact that could have on certain areas of the markets along with bankng sector turmoil.to close the takeover within as little as a month, two sources with knowledge of the plans told Reuters on Thursday, to try to retain the lender's clients and employees.

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